PKN Orlen Invests in Shale Program

Poland’s Orlen Upstream International formalized the acquisition of a 100% interest in Canada’s TriOil, acquiring new know-how in the unconventional hydrocarbon business.

The transaction's value amounts to approximately €130 m, reads a note released on Thursday. The total value of the enterprise is around €170 m. 

PKN Orlen allocated €572 m to develop its upstream segment, saying it could increase its investment up to €1.2 billion.

"The diversification of exploration and production assets is a part of our strategic objectives, and presents a great opportunity for the transfer of know-how. Acquisition of TriOil's assets, will allow us to bridge the gap between the mature unconventional hydrocarbon production markets and the resources in Europe, where few appraisals have been made so far,” commented Jacek Krawiec, CEO of PKN Orlen in another note released on Tuesday.

According to the Polish company, TriOil has ‘a strong technical expertise’. Since 2010, it has been drilling horizontal wells using multi-stage fracturing technologies, completing 85 of such treatments to date.